OREANDA-NEWS. October 13, 2011. The Bank of Moscow is working actively to recover problem loans previously extended by the Investment Asset Department. The resources of the VTB Group are engaged in this work and an agency agreement has been concluded with the VTB Debt Centre, which has considerable experience in such matters.

The main methods used to recover the problem debts to the Bank of Moscow are recovery from debtors through the courts, irrespective of their jurisdiction, and optimisation of the activities of industrial assets acquired using the Bank’s credit funds, for the purpose of increasing the efficiency and transparency thereof and optimising the work of these companies’ management.

As of today, 80 suits have been filed with the courts, and court rulings on recovering funds in favour of the Bank have been received to a total sum of over RUR 2.3 bln, in particular:
from Closed Joint Stock Company Netvest – a sum of over RUR 335 mln,
from Closed Joint Stock Company Tyazhprommash – a sum of over RUR 949 mln,
from Closed Joint Stock Company Factoria-21 – a sum of over RUR 310 mln,
from Limited Liability Company NPO Superfosfat – a sum of over RUR 630 mln,
from Limited Liability Company Promtekhkomplekt – a sum of over RUR 50 mln.

The Bank of Moscow is fulfilling all the conditions of the general agreement with the Deposit Insurance Agency and is striving to recover the funds received as efficiently as possible. For instance, on 10 October 2011, the Bank of Moscow redeemed debt to the Deposit Insurance Agency to a sum in the order of RUR 200 mln. The Bank of Moscow will continue to apply all efforts to repay the assistance received from the state ahead of time.